Plea to lift parental pay burden

The
Institute of Management is urging the Government to administer pay for working
parents’ leave rather than placing the burden on employers.

The
recommendations are included in the institute’s response to the Department of Trade
and Industry’s consultation paper, Work & Parents: Competitiveness and
Choice.

Theresearch found that 71 per cent of managers
want the Government to provide statutory maternity pay to mothers
directly.

The
employers’ body is also calling for the Government to unify payment mechanisms
for maternity and paternity leave.

The
research shows that, although there is considerable support among managers for
a system of two weeks’ paid paternity leave at the same rate as maternity
leave, managers are averse to shouldering any further administrative burdens.

More
than three-quarters of managers do not believe that employers should meet the
administrative burden of paternity leave.

The
survey of 233 members also shows that 74 per cent of managers were confused by
the rules on maternity leave and pay.

Mark
Childs, global head of compensation for Fidelity Investments, said large
employers should not be hit by administrative burdens.

He
said, “I’m sympathetic to the arguments of small employers. But for larger employers,
these payments are handled through payroll and are not a burden to administer.”